Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
A company specialising in the manufacture and sale of baths. Each bath consists of a main unit plus a set of bath fittings. The company is split into two divisions, A and B. Division A manufactures the bath and Division B manufactures sets of bath fittings. Currently, all of Division A's sales are made externally. Division B, however, sells to Division A as well as to external customers. Both of the divisions are profit centres. The following data is available for both divisions: Division A Current selling price for each bath 450 Costs per bath: Fittings from Division B 75 Other materials from external suppliers 200 Labour costs 45 Annual fixed overheads 7,440,000 Annual production and sales of baths (units) 80,000 Maximum annual market demand for baths (units) 80,000 Division B Current external selling price per set of fittings 80 Current price for sales to Division A 75 Costs per set of fittings: Materials 5 Labour costs 15 Annual fixed overheads 4,400,000 Maximum annual production and sales of sets of fittings (units) 200,000 (including internal and external sales) Maximum annual external demand for sets of fittings (units) 180,000 Maximum annual internal demand for sets of fittings (units) 80,000 The transfer price charged by Division B to Division A was negotiated some years ago between the previous divisional managers, who have now both been replaced by new managers. Head Office only allows Division A to purchase its fittings from Division B, although the new manager of Division A believes that he could obtain fittings of the same quality and appearance for $65 per set, if he was given the autonomy to purchase from outside the company. Division B makes no cost savings from supplying internally to Division A rather than selling externally. Required: (a) Under the current transfer pricing system, prepare a profit statement showing the profit for each of the divisions and for Bath Co as a whole. Your sales and costs figures should be split into external sales and inter-divisional transfers, where appropriate
What are the advantages of predetermined time standards (PTS)? Answer: Quicker and cheaper than time study; likely to be more reliable; valuable for estimating new jobs; can be
#question.Q3. Solve the following Linear Programming Problem using Simple method. Maximize Z= 3x1 + 2X2 Subject to the constraints: X1+ X2 4 X1+ X2 2 X1, X2 0.
Question 1: Describe the main growth strategies that a firm can pursue and discuss conditions that favour each strategic option. Support your answer with suitable examples.
Describe the framework of the general model of planned change. Include a discussion of each activity and a typical sequence of events.
Gabriela Manufacturing must decide whether to insource or outsource a new toxic-free miracle carpet cleaner that works with its Miracle Carpet Cleaning Machine. If it decides to in
Question: Distinguish clearly between accidental change and deliberate change. Change is often resisted for multitude reasons. Critically explain the reasons thereof. Us
Productivity Measurement In Productivity measurement, we identify the factors affecting productivity and divide them into two major categories: external and internal. We ident
A paper mill produces two grades of paper viz., X and Y. Because of raw material restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of grade Y paper i
• From the scenarios, we see that Chris and Erica have different communication styles that could potentially have a negative impact on the business. Suggest at least two strategies
Intefnal and external burgmaster demise
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd